Former Business Manager Stole $1.7 Million From labor Union and Committed Related Offenses

Former Business Manager Stole $1.7 Million From labor Union and Committed Related Offenses

A former business manager of Local 657 of the Laborers International Union of North America (LIUNA) pleaded guilty today to stealing $1.7 million from Local 657 and related offenses.

Anthony Wendel Frederick Sr., 50, of Upper Marlboro, Maryland, was charged with one count of conspiracy to commit theft from a labor organization, one count of conspiracy to receive unlawful labor payments, one count of conspiracy to commit wire fraud and one count of money laundering, as part of a 45-count indictment against Frederick and two co-defendants.  Frederick pleaded guilty before U.S. District Judge Amit P. Mehta of the District of Columbia.

LIUNA’s Local 657 is a labor organization that represents construction laborers in Washington, D.C., and five adjacent counties.  Frederick served as the business manager for Local 657 for approximately 10 years until June 2014.

In pleading guilty, Frederick admitted that from May 2013 to June 2014, he directed more than $1.7 million in Local 657 funds to STS Contracting of Greenbelt, Maryland, without the knowledge or authorization of the Local 657 Executive Board or LIUNA International officials.  Frederick also admitted that officials in STS General Contracting made a number of financial payments to Frederick with the funds stolen from Local 657, including a down payment of $225,000 on a home that Frederick purchased and construction of a three-car garage on the property, and directed more than $600,000 to a corporation owned in part by Frederick’s wife.

 

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